CIN: L29100MH1989PLC255933
Registered Office: 506, Imperial Palace, 45 Telly Park Road, Andheri East, Mumbai-400 069, India
Revenue from Operations stands at ₹ 1,124 Mn in Q1 FY24
EBITDA stands at ₹ 219 Mn in Q1 FY24
PAT at ₹ 167 Mn in Q1 FY24
Balu Forge Industries Ltd (BFIL) is one of the leading manufacturers of finished and semi-finished forged crankshafts and components. BFIL in its board meeting held on 11th August 2023 has approved the Unaudited Financial Results of the Company for the First Quarter Ended on 30th June 2023 as one of its agenda.
Consolidated Financial Statement Highlights for Q1 FY24 v/s Q1 FY23 v/s Q4 FY23
| Particulars (Rs. Mn) | Q1 FY24 | Q1 FY23 | YoY% | Q4 FY23 |
| Revenue from Operations | 1,123.85 | 527.97 | 112.86% | 1,237.81 |
| Other Income | 1.07 | 30.09 | 5.49 | |
| Total Revenue | 1,124.92 | 558.06 | 101.58% | 1,243.29 |
| Total Expenses excl. D&A & Finance Cost | 904.88 | 449.84 | 1,031.11 | |
| EBITDA (Excl. Other Income) | 218.97 | 78.13 | 180.27% | 206.69 |
| EBITDA Margin (%) | 19.48% | 14.80% | 468bps | 16.70% |
| Depreciation & Amortization | 4.59 | 2.85 | 4.36 | |
| Finance Cost | 24.79 | 16.39 | 35.15 | |
| PBT before Exceptional Item | 190.66 | 88.97 | 172.67 | |
| Exceptional Items | – | – | – | |
| PBT | 190.66 | 88.97 | 172.67 | |
| Tax | 23.96 | 15.00 | 20.29 | |
| PAT | 166.70 | 73.97 | 125.35% | 152.38 |
| PAT Margin % | 14.83% | 14.01% | 12.31% | |
| Other comprehensive profit/( loss) | 0.04 | 0.01 | 0.37 | |
| Net PAT | 166.74 | 73.98 | 125.33% | 152.76 |
| Diluted EPS (In Rs.) | 2.00 | 0.90 | 1.83 |
Consolidated Financial Performance Comparison – Q1 FY24 v/s Q1 FY23
- Revenue from Operations increased by 112.86% and stood at ₹ 1,123.85 Mn in Q1 FY24 from ₹ 527.97 Mn in Q1 FY23 led by an increase in demand for our products in our operating markets and the introduction of heavier crankshafts.
- EBITDA increased to ₹ 218.97 Mn in Q1 FY24 from ₹ 78.13 Mn in Q1 FY23, margins increased from 14.80% in Q1 FY23 to 19.48% in Q1 FY24 due to better operational efficiency, increased scale of operations and better product mix.
- PAT increased by 125.35% and stood at ₹ 166.70 Mn in Q1 FY24, compared to ₹ 73.97 Mn in Q1 FY23, margins increased from 14.01% in Q1 FY23 to 14.83% in Q1 FY24.
Business Update:
- Appointed Mr Amit Todkari as Chief Financial Officer. Mr Amit Todkari is a Qualified Member of the Institute of Chartered Accountants of India and holds an experience of more than 8 years in audit, taxation and finance.
- Raised capital of ~₹ 193 crores through preferential issue of equity shares and warrants for the purpose of scaling up operations through capacity augmentation.
Management Comments
Commenting on the performance of Q1 FY24, the management team of Balu Forge Industries Ltd. stated:
“We are delighted to share our business performance for Q1 FY24. We continued to witness robust demand for our products in diverse industries. By effectively utilizing our established product range and successfully introducing new products like the enhanced crankshafts, we have not only bolstered our market standing but also enhanced profitability. Additionally, our margins have grown due to improved operational efficiency, an expanded scale of activities, and an enhanced product mix.
We would also like to emphasize that our capex plan for enhancing our machining capacity by ~15,000 tonnes of the Mercedes Benz plant in Belgaum, Karnataka is on track. This enhancement will aid us in diversifying our components/products and will increase our efficiency and productivity while positioning us as a comprehensive solution provider for our clients.
With a solid foundation and extensive precision engineering and manufacturing capabilities, we are well-positioned to capitalize on emerging opportunities across commercial vehicles, power generation, defence and railway industries. Our ongoing commitment to innovation and customer-centricity will continue to guide us on our path to sustainable revenue growth.
We would like to thank our employees for their efforts and our investors/stakeholders for their continued support and encouragement.”
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Disclaimer:
CERTAIN STATEMENTS IN THIS DOCUMENT MAY BE FORWARD-LOOKING STATEMENTS. SUCH FORWARD-LOOKING STATEMENTS ARE SUBJECT TO CERTAIN RISKS AND UNCERTAINTIES LIKE GOVERNMENT ACTIONS, LOCAL POLITICAL OR ECONOMIC DEVELOPMENTS, TECHNOLOGICAL RISKS, AND MANY OTHER FACTORS THAT COULD CAUSE OUR ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTEMPLATED BY THE RELEVANT FORWARD-LOOKING STATEMENTS. BALU FORGE INDUSTRIES LIMITED WILL NOT BE IN ANY WAY RESPONSIBLE FOR ANY ACTION TAKEN BASED ON SUCH STATEMENTS AND UNDERTAKES NO OBLIGATION TO PUBLICLY UPDATE THESE FORWARD-LOOKING STATEMENTS TO REFLECT SUBSEQUENT EVENTS OR CIRCUMSTANCES.